Porsche AG warned that the parts shortages that crimped output of its only fully electric vehicle will persist in the second half, raising questions about the rollout of future battery-powered models.
(Bloomberg) — Porsche AG warned that the parts shortages that crimped output of its only fully electric vehicle will persist in the second half, raising questions about the rollout of future battery-powered models.
Deliveries of the Taycan EV declined in the past two quarters due to a shortage of special parts including a high-voltage heater. Porsche said meeting its EV sales target of at least 12% of shipments this year will depend on better supplies — which may prove challenging.
“There’s no week where we have no supply-chain issue,” Chief Executive Officer Oliver Blume said Wednesday on a call with reporters. “We see still a lot of uncertainties also because of geopolitical uncertainties around the world.”
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Porsche is under pressure to improve parts sourcing as it prepares to roll out several new EVs. It plans to launch an all-electric version of its Macan SUV next year, followed by battery versions of the 718 roadster and Cayenne SUV. A top-end luxury SUV is to follow later.
“Worries on 2024 performance and the delayed launch date for the e-Macan will move into view in the second half,” Bernstein analyst Daniel Roeska said in a note to clients.
The shares fell as much as 2.7% in Frankfurt. They’re still up around 15% this year.
The strength of the key profit contributor to parent Volkswagen AG continues to be largely dependent on its legacy combustion-engine business. While unit sales rose 15% in the first half on robust demand for the 911 and Macan models, deliveries of its Taycan EV declined 5% due to parts shortages.
The German company sees slowing growth in Europe as well as rising costs and limited availability of components, even as profit rose in the six months through June.
Porsche displayed encouraging quarterly earnings momentum despite remaining cautious about the 2H macroeconomic environment, with a strong order backlog across all models and luxury set to outperform volume peers. Pricing will be key, with Porsche set to push through further increases in 2H, helping to maintain Ebitda margin at the top of its 25-27% guidance range for 2023 vs. 26.7% in 2Q and 24.4% in 1Q.
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Porsche is implementing measures including forming partnerships on new technology to defend margins as it shifts to battery power. The carmaker is teaming up with Mobileye Global Inc. on autonomous driving and took control of Cellforce, a venture that’s working on high-performance battery cells.
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Porsche’s operating profit climbed 11% to €3.85 billion ($4.3 billion) in the first half on stable pricing for its vehicles. Automotive net cash flow declined amid investments in new products and a temporarily higher inventory.
(Updates with analyst comment in fifth paragraph. A previous version of this story corrected the spelling of the Taycan model in the photo caption.)
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